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Japan's Nikkei climbs as chip shares gain, softer yen lifts sentiment
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Japan's Nikkei climbs as chip shares gain, softer yen lifts sentiment
Apr 8, 2024 11:50 PM

(Updates with closing prices)

TOKYO, April 9 (Reuters) - Japan's Nikkei share average

ended higher for a second session on Tuesday as chip-related

stocks rose and a weaker yen lifted sentiment.

The Nikkei rose 1.08% to close at 39,773.13. The

broader Topix gained 0.97% to 2,754.69.

"The market didn't find moving catalysts today but

sentiment was lifted by the index's rise on Monday after its

sharp declines on Friday," said Jun Morita, general manager of

the research department at Chibagin Asset Management.

The Nikkei jumped 0.9% on Monday after falling 1.96% in its

biggest daily decline almost in a month on Friday.

"And the market was also underpinned by the yen's weakness,"

Morita added.

The Japanese yen weakened 0.03% versus the greenback

at 151.86 per dollar, holding near a 34-year high of 151.975 yen

hit last month.

Finance Minister Shunichi Suzuki said authorities would not

rule out any options in dealing with excessive yen moves,

reiterating his warning that Tokyo is ready to act against the

currency's recent sharp declines.

A weak yen raises the value of overseas profits in yen terms

when firms repatriate them to Japan.

Chip-related shares rose, with Tokyo Electron ( TOELF )

jumping 3.53% and Advantest ( ADTTF ) rising 1.06%. Lasertec ( LSRCF )

climbed 3.43%.

Shin-Etsu Chemical ( SHECF ) jumped 4.44% after local media

reported the maker of silicon wafers plans to spend about 83

billion yen ($546 million) to build a microchip materials plant

in Japan by 2026, its first domestic manufacturing facility in

56 years.

Warren Buffett's Berkshire Hathaway, which holds stakes in

Japanese trading firms, has mandated Bank of America and Mizuho

to lead a yen-denominated bond sale, the IFR reported on

Tuesday.

Mitsubishi Corp ( MSBHF ) jumped 3.09% and Mitsui & Co ( MITSF )

gained 3.34%. Itochu ( ITOCF ) was up 1.36%.

Of the 225 components in the Nikkei, 166 stocks rose and 57

fell, with two flat.

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